Opposition rejects Hariri's proposed government

Lebanon's opposition groups formally informed the president on Tuesday of their rejection of a proposed government line-up by prime minister-designate Saad al-Hariri, raising the possibility that Hariri will step aside.

The billionaire magnate handed President Michel Suleiman his proposal on Monday, a move quickly rejected by the "March 8" opposition alliance, that includes Syria- and Iran- backed Hezbollah, because it had not been agreed by them.

"We do not consider what happened to be appropriate, either with our democratic values or in how to deal with us. We were demanding from (Hariri) to present a draft that is acceptable to our demands in order to negotiate over it," said Gibran Bassil, a Christian opposition politician, after meeting Suleiman.

The delegation also included representatives from Hezbollah and its Shiite ally Amal.

Hariri, the son of assassinated billionaire ex-premier Rafiq Hariri and head of the Western-backed parliamentary majority, was named prime minister on June 27 after winning a general election earlier that month.

Tough negotiations led to a deal on the number of ministers each political camp would have in the 30-seat cabinet, with 15 going to Hariri's ruling alliance, 10 to the opposition and the president appointing five.

The opposition rejected the draft 30-seat cabinet as a unilateral step because the draft had not been agreed with them.

"I do not believe this way of doing things will lift Lebanon from the crisis over the formation of the new government," Hezbollah leader Hassan Nasrallah said in a televised speech late on Monday. "It will make the problem more complicated."

I do not believe this way of doing things will lift Lebanon from the crisis over the formation of the new government

Hassan Nasrallah, Hezbollah

"I do not think that the method employed today takes Lebanon out of the government formation crisis. On the contrary, it further complicates the problem," he added.

Nasrallah, whose group was allocated two seats in Hariri's proposed cabinet, described Hariri's move as inappropriate and said no concessions were made in talks aimed at agreeing on the new unity government.

At the heart of the dispute are the demands of Christian leader Michel Aoun, an ally of Hezbollah. Aoun's Free Patriotic Movement holds more seats in parliament than any other Christian party.

Hariri resists Aoun demands

Hariri has resisted Aoun's demand for Gebran Bassil, his son-in-law, to keep his post as telecoms minister. Aoun also wants to name the new interior minister.

Hariri's proposed line-up kept Ziad Baroud in his current post as interior minister and hands the telecoms ministry to Ghazi Aridi, an associate of Druze leader Walid Jumblatt, political sources said.

Hariri is keen to gain the telecoms portfolio for his coalition and oversee a long-stalled plan to privatize the telecoms sector. The sale of two state-owned mobile firms is expected to garner as much as $7 billion.

Aoun said Hariri's move showed he did not want to form a government. "On the contrary, he wants to play with the cabinet formation according to his mood," Aoun told Sawt al-Mada radio station, according to a report published on his Tayyar website.

Fouad Siniora, the outgoing prime minister and a member of Hariri's Future Movement, will lead a caretaker cabinet until Suleiman issues a decree appointing the new government.